Moscow, August 7 — “News. The economy is” Apple, together with Goldman Sachs Group has begun the pre-release of virtual Bank card Apple Card, announced in March this year.
Apple announced that a limited number of consumers who expressed interest ownership map Apple Card, began to receive invitations to register.
“Apple Card not prinadlejit the number of reward cards such as Chase Sapphire or AmEx Platinum Reserve,” said Sarah Ratner, an expert on credit cards-NerdWallet — the “Premium-card charge ultra-high fees for the service, but you get pretty nice benefits: big bonuses, loans on the balance sheet total, higher interest accruals for transportation costs”.
Apple CEO Tim cook and Executive Director of the project, Apple Pay Jennifer Bailey presented a map of Apple Card at the end of March 2019 at presentation in the theatre of Steve jobs in Cupertino.
The virtual card is intended for use with an iPhone, the owner can use it for purchases immediately after registration.
The registration process, which requires a smartphone iOS 12.4, includes the input address, birthday, income level, and last four digits of social security number of the user. This information is sent to the Bank Goldman Sachs, which will approve or deny the request in real-time.
The service offers cashback with the daily cash back. When you use a virtual credit card Apple Card to purchase a variety of products you will daily return 2% cashback from the total amount. For those who will make purchases in the Apple promise 3% cashback. The card has no fees on international payments, no pending commissions, and any fees for registration.
An interesting feature of the card is that it will not have CVV, open rooms, it will be perpetual and will not require a signature. The map will be attributed to the device. Access will be via a Face ID and Touch ID.
Apple partners in this project are Goldman Sacks Bank and Mastercard. Analysis of billing information will occur on the device, Apple will not have access to it. Apple also offers a physical version of the card made of titanium, for which there is no visible numbers.
In Apple claim that the company’s employees will not have access to private information of users. Investment Bank Goldman Sachs has said it will not be able to use data on purchases of owners of Apple Card for marketing purposes.
According to managing partner Loup Ventures Gene Munster, the first year the project will bring Apple a substantial profit, but by 2023, revenues from the Apple Card can be around $1.4 billion, up about 1.8% of the total measure.
Creative Strategies analyst Ben Bajarin stressed that income is less important for Apple than increase user loyalty to the brand. “If this works, this is another reason to stay in the Apple ecosystem, even if the market is better than that”, he said.
It should be noted that many high-tech companies of Silicon valley turned their attention on the financial sector. And it’s not like the regulators. Recently, the Banking Committee of the U.S. Senate introduced a bill that would have banned the technology companies to release products and to provide people with financial services.
In its current form the law does not make any exceptions, covering all types of services. So lawmakers want to warn companies that do not have a banking license from quasibanach activities and their users from losing their money.
However, there is a chance that Apple will be able to avoid a ban. The fact that Apple Card is primarily designed solely to monitor revenues and expenses, while the credit card Issuer is Goldman Sachs. So technically Apple does not provide financial services, delegating this duty to his partner, who has a license.
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